Network Advantages in a Market Entry Context – A study of the Swedish fashion business
Sammanfattning: Purpose: The purpose of this paper is to research and analyze how the establishment in new markets of small and medium Swedish fashion companies can be made more efficient from a network perspective. Methodology: The researchers have decided to take a phenomenological standpoint and undertake an exploratory study in order to gain understanding of the phenomenon of market entry and the use of networks. The researchers have chosen to undertake a qualitative study and to adopt an abductive approach. Two “case companies” have been chosen which are Filippa K and House of Dagmar. Also, in order to gain even more understanding of the network dynamics, the perspective of major support organizations such as the Swedish Trade Council and the Swedish Association of Agents has been brought in. Theoretical perspectives: The theoretical framework is constituted by concepts and models related to the field of theory of networks and market entry, that the researchers have considered as relevant. The focus lies on direct export practices through agents and on the advantages that arise through interaction in business networks. Empirical foundation: The empirical data has been gathered in order to understand how labels cooperate on the sales front. Some major causes to the ineffective sales have been put in evidence by the authors. The three major threats analyzed are the immaturity of the fashion sector, the lack of business competence at the management level of Swedish small and medium fashion enterprises, as well as the need of choosing the appropriate agent. Conclusions: Enhanced collaboration is needed in different areas. The conclusion chapter presents a guideline that Swedish small and medium fashion companies could follow to make their market entry more efficient. The suggestions derive from a network perspective. Labels should enhance the interaction among themselves; also, their business competence should be enhanced. Collaborating with the right type of agent is a further criterion to be successful abroad.
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